Multiple Choice
For debt instruments,if interest rates increase:
A) prices of long-term bonds will increase more than short-term bonds.
B) prices of short-term bonds will increase more than long-term bonds.
C) the coupons of long-term bonds will increase more than short-term bonds.
D) coupons of long-term bonds will increase more than short-term bonds.
Correct Answer:
Verified
Correct Answer:
Verified
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